Adelaide suburbs where homeowners are holding on longest

21 hours ago 1

Artwork for story about longest held suburbs

Adelaide’s booming housing market is making homeowners hold onto their properties longer, with many tightly held suburbs becoming almost impenetrable.

Latest PropTrack data reveals the areas that have recorded the largest increase in their average hold period over the past five years.

Rapidly rising property prices and limited available stock, combined with more quality homes on offer were largely responsible for the increase in hold periods, industry experts say.

Peterhead in Adelaide’s west recorded the largest percentage increase in its average hold period, the data shows, from just over eight years in March 2021 to 17 years by March 2026.

Its close neighbour Rosewater was also high on the list, coming in at number six, with the average hold period rising from nine years to 14 years.

There are currently just two Peterhead properties listed for sale on realestate.com.au, and six in Rosewater.

Ray White Semaphore agent Kate Smith. Picture: Ben Clark.

Ray White Semaphore agent Kate Smith said both were suburbs that were often overlooked prior to the Covid pandemic, with many only turning to those areas if they were priced out of Semaphore or Largs Bay.

She said strong interest from interstate was what made people appreciate the areas more, particularly their character homes, affordability and proximity to the city.

“Finally in our western Adelaide market, we actually understood how good our quality of life was,” Ms Smith said.

“I feel that people got in at a point that, in hindsight, was very affordable.”

While many loved the area, Ms Smith said some were remaining in their Peterhead and Rosewater homes because trying to find another property in a market where demand was far outstripping demand was too daunting.

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“I feel like there’s probably a bit of a holding pattern in the market – it’s been like that for a few years now,” she said.

Both suburbs, as well as some others, were also becoming more popular because they were still considered affordable compared to surrounding areas, she said.

“What we’re finding is that areas that weren’t considered previously by buyers, they’re now on the shopping list because of affordability factors,” Ms Smith said.

Meanwhile, an increase in better quality homes was the driving factor in Kent Town’s rising average hold period – which the data shows was just 6.5 years in 2021 and is now just over 11 years.

Fox Real Estate agent Nick Pelvay. Picture: Dean Martin.

Fox Real Estate agent Nick Pelvay said the city fringe suburb once attracted a more transient demographic but it was increasingly appealing to downsizing owner occupiers choosing to stay in the area much longer.

“A major driver has been the quality of development delivered in recent years, with many of the newer apartment projects offering premium, never-to-be-built-out parkland views, high-end finishes and genuine lock-up-and-leave convenience,” he said.

“That’s particularly attractive to buyers coming from established inner-north suburbs such as College Park, St Peters, Walkerville and Norwood, who want to retain a premium lifestyle without the maintenance of a large family home.

“It’s incredibly walkable, with easy access to the East End, Norwood and the CBD, while also benefiting from an eclectic mix of cafes, restaurants, delicatessens, offices and converted warehouse spaces.

“It has a vibrancy that’s quite unique within Adelaide – arguably the closest comparison would be Sydney’s Surry Hills.

“As a result, residents are no longer viewing Kent Town as a stepping stone suburb, but rather, as a destination suburb.”